Zimbabwe Gold (ZiG) and Mosi-oa-Tunya Gold Coins: What They Mean for Diaspora Savings and Remittances

On 8 April 2024, Zimbabwe launched its sixth attempt at a stable national currency since 2008. The Zimbabwe Gold — known as ZiG (currency code: ZWG) — replaced the Zimbabwe dollar, which had collapsed to over 33,900 per US dollar by early April 2024, with parallel market rates touching 40,000. Annual inflation had hit 55.3% in March 2024. The Reserve Bank of Zimbabwe (RBZ) introduced ZiG at an initial rate of 13.56 ZiG to one US dollar, anchored to the gold price on the London Bullion Market: 1 ZiG is equivalent to 1 milligram of gold. The RBZ claimed the currency is backed by a composite reserve of approximately US$1.5 billion in hard assets — foreign currencies, gold holdings of around 2.5 tonnes, diamonds received as in-kind royalties, and other precious metals. Notes were issued in denominations of 1, 2, 5, 10, 20, 50, 100, and 200 ZiG. ## What Happened After Launch The ZiG's early performance offered cautious optimism. The official exchange rate held relatively stable through mid-2024, and monthly inflation fell sharply from its pre-launch levels. However, by September 2024, mounting pressure from the parallel market forced the RBZ's Monetary Policy Committee to devalue the ZiG by over 40%, resetting the official rate to 24 ZiG per US dollar. On the black market, where most businesses actually source US dollars, the ZiG had already lost more than half its value well before the official devaluation. The Zimbabwe National Chamber of Commerce noted that even before the September devaluation, up to 70% of transactions in informal markets were still conducted in US dollars. In rural areas, dollarisation was effectively total. Afrobarometer research from 2024 found that 62% of Zimbabweans had no confidence in the ZiG. Despite requirements for companies to pay 50% of quarterly taxes in ZiG, even government institutions continued accepting only US dollars for passports, fuel, and public services — contradicting the currency's stated purpose. As of mid-2025, however, reports indicate the ZiG has regained some stability, supported by rising global gold prices and an increase in RBZ foreign exchange reserves. It has depreciated only marginally in 2025 compared to the turbulence of late 2024. ## What This Means if You Are Sending Money to Zimbabwe For UK-based Zimbabweans sending remittances, the ZiG's instability has practical consequences. Diaspora remittances reached US$1.9 billion between January and September 2024 — a 16.5% increase year-on-year — accounting for roughly 25% of Zimbabwe's total foreign currency earnings. This money overwhelmingly arrives and is held in US dollars, and that remains the correct approach. Most remittance recipients in Zimbabwe will prefer, and often insist on, receiving US dollars rather than ZiG. When using services such as WorldRemit, Mukuru, Western Union, MoneyGram, Wise, or Remitly, you should confirm the payout currency before completing a transfer. Many providers offer USD cash pickup or USD mobile wallet top-ups (such as Innbucks or EcoCash USD wallets), which bypass ZiG exposure entirely. Avoid automatic conversion to ZiG unless the recipient specifically requests it and understands the exchange rate implications. The gap between the official ZiG rate and parallel market rates means that any ZiG-denominated payout will almost certainly be worth less in practice than the official rate suggests. Always check the effective USD equivalent your recipient will actually receive. ## Mosi-oa-Tunya Gold Coins: A Savings Vehicle Separate from the ZiG currency, the RBZ has issued physical gold coins since 2022 under the name Mosi-oa-Tunya (named after Victoria Falls). These one-troy-ounce gold coins were designed as a store of value and inflation hedge for Zimbabweans — an alternative to holding US dollars under a mattress. The coins are legal tender in Zimbabwe and can be bought and sold through Zimbabwean banks. Their value tracks the international gold price, making them a genuine hard asset. Asset managers such as Bard Santner have created unit trust structures around these coins, allowing smaller investors to access gold-coin exposure from as little as US$15 per month (minimum US$120 per year), with a 180-day minimum investment period and seven-day notice for withdrawals. The fund is regulated by SECZIM, Zimbabwe's Securities and Exchange Commission. For diaspora investors, direct purchase of Mosi-oa-Tunya coins requires engagement with RBZ-authorised banks inside Zimbabwe. If you have family members managing assets on your behalf in Zimbabwe, the coins or unit trusts built around them represent one of the more credible stores of value available in the local market — provided you trust the custodial and redemption process. ## Key Takeaways for the Diaspora - The ZiG remains Zimbabwe's legal currency but continues to face a serious confidence deficit and a meaningful gap between official and parallel market rates. - Send remittances in USD and confirm your provider pays out in USD wherever possible. - Do not hold large ZiG balances speculatively — the currency's track record, even with gold backing, reflects Zimbabwe's deep structural challenges. - Mosi-oa-Tunya gold coins are a more credible hard-asset savings vehicle within Zimbabwe, though they require local access and trusted management. - The ZiG's gold-backed design is structurally sounder than previous Zimbabwean currencies, but design alone does not guarantee stability when public confidence and dollar dependency remain entrenched.